1Failing
to report promptly in accordance with his firm's internal
procedures (or if none exist direct to the regulator concerned), information which it would be
reasonable to assume would be of material significance to the regulator concerned), whether in response to questions
or otherwise, falls within APER 4.4.3 G. The
regulator concerned is:

(1)

the FCA if
it would be reasonable to assume that it would be of material significance
to it;2

(2)

the PRA if
it would be reasonable to assume that it would be of material significance
to it;2

(3)

both the FCA and
the PRA if it would be reasonable
to assume that it would be of material significance to both of them.2

There
is no duty on an approved person to
report such information directly to the regulator concerned2 unless he is one of the approved persons responsible within the firm for reporting matters to the regulator concerned.2However, if an approved person takes steps to influence the decision so as not to report to the regulator concerned or acts in a way that is intended to obstruct the reporting of the information to the regulator concerned, then the FCA1 will, in respect of that information, view that individual1 as being one of those within the firm who has taken on responsibility for deciding whether to report that matter to the regulator concerned.

1Where the approved person is, or is one of the approved persons who is, responsible within the firm for reporting matters to the regulator concerned (as defined in APER 4.4.4G), failing promptly to inform the regulator concerned of information of which they are aware and which it would be reasonable to assume would be of material significance to the regulator concerned, whether in response to questions or otherwise, falls within APER 4.4.3G.

1In determining whether or not an approved person's conduct under APER 4.4.7G complies with Statement of Principle 4, the following are factors which, in the opinion of the FCA, are to be taken into account:

(1)

the likely significance of the information to the regulator concerned (as defined in APER 4.4.4G) which it was reasonable for the approved person to assume;

(2)

whether any decision not to inform the regulator concerned (as defined in APER 4.4.4G) was taken after reasonable enquiry and analysis of the situation.